A firm which makes and installs traffic lights has been taken over.

TSEU Group, of Enderby, has been acquired by fellow road signal specialist Telent, of Coventry.

The owners of TSEU said they decided to sell after feeling they were unable to grow the business further following a 10-fold expansion over the past nine years.

Joint managing directors Gary Higgins and Andrew Ramsbottom, the majority shareholders, have now left the company.

Mr Higgins said the company had received three unsolicited offers and decided to go with Telent.

"We put it to all the shareholders and they thought it was acceptable," he said.

"Since 1999, we have gone from a £2 million turnover to £20 million.

"To get it to the next level, we needed a bigger company behind it. Telent is that company. It is a perfect fit."

Telent, which has a turnover of £300 million and employs 2,000 staff, supplies specialist electronic motorway signals.

The deal includes TSEU's subsidiary, Traffic Signals UK, which installs and maintains the signals and is also based in Warrens Business Park, Enderby, where it employs 15 people.

The firm's research and development business, Microsense Systems, is in Fareham, Hampshire.

The group employs about 230 people at eight UK sites in total.

TSEU relocated its head office from Birmingham to Enderby in 2005.

The company supplies to councils and civil engineering firms. Customers have included Leicestershire County Council.

Mark Plato, Telent's chief executive, said: "The acquisition of TSEU will help us to further extend out experience and knowledge beyond the motorway network and into the cities.

"That is where we see growth opportunities, driven by the need for electronic tolling and intelligent traffic information and management."

Formerly the UK and German services business of Marconi Corporation, the company was renamed Telent in January 2006.

In January this year, Telent de-listed from the stock market following its acquisition by Pension Corporation.

Chris Gregory, a partner at Orbis and lead adviser on the deal, said: "TSEU has developed an impressive range of products and services into the growing traffic management sector.

"This made TSEU an attractive strategic acquisition."

Richard Underwood, at Martineau Johnson, acted as legal adviser to the vendor.

Source: This Is Leicestershire

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